uk growth unit trust - st. james's place financial ... · pdf filest. james's place...

UK GROWTH UNIT TRUST

FOR THE PERIOD ENDED 31 MARCH 2015

I. S. Gascoigne D. J. Lamb

PricewaterhouseCoopers LLPAtria One144 Morrison StreetEdinburgh, EH3 8EXUnited Kingdom

Freephone: 0800 027 1031

PO Box 9034, Chelmsford, CM99 2XA

St. James's Place UK Growth Unit Trust

ManagerSt. James's Place Unit Trust Group Limited

United Kingdom

(Authorised and regulated by the Financial Conduct Authority)

Investment AdviserMajedie Asset Management Limited

Directors of the ManagerD. C. BellamyA. M. Croft

10 Old BaileyLondon, EC4M 7NG

160 Queen Victoria Street

TrusteeBNY Mellon Trust & Depositary (UK) Limited

United Kingdom



Independent Auditor

Prospectus and Manager's Reports

Copies of the up to date Prospectus (Scheme Particulars) and latest Manager's Report andFinancial Statements for the range of St. James's Place Unit Trusts can be requested from amember of the St. James's Place Partnership or, at any time during normal business hours, fromthe Administration Centre at PO Box 9034, Chelmsford CM99 2XA.Freephone: 0800 027 1031

United Kingdom

London, EC4V 4LAUnited Kingdom

RegistrarInternational Financial Data Services (UK) Limited

St. Nicholas LaneBasildon, SS15 5FS

IFDS House


1

08/01/07 to 31/03/15

31/03/10 to 31/03/15

30/09/14 to 31/03/15

% change % change % change

+31.0 +40.3 +5.3+53.4 +47.8 +6.9

+43.5 +49.3 +5.3


Report of the Manager

During the period under review, 1 October 2014 to 31 March 2015, the St. James's Place UKGrowth Unit Trust Income unit offer price rose by 5.3% from 135.2p to 142.4p and theAccumulation unit offer price (in which revenue is reflected in the price rather than distributed)rose by 6.9% from 143.5p to 153.4p.

The Trust's PerformanceThe performance of the Trust since its launch in January 2007, over the five year period sinceMarch 2010 and over the period under review is shown below, together with figures for the mostcommonly quoted indices in comparable markets where the major proportion of the Trust hasbeen invested.

The Manager's Report consists of Report of the Manager, The Trust's Performance, InvestmentAdviser's Comments, Risk and Reward Profile and Portfolio Statement.

* Income Units were made available on the 1 October 2007.

Investment Adviser's Comments

Headlines on Greece dominated the news during the period, causing investors to once again fretabout a potential break-up of the euro project; but against the backdrop of political unease, thereal economic winds had slowly begun to shift. The collapse in the price of crude oil in theautumn materially changed the prospects for both the producers and the consumers of oil, givingthe consumers in Europe a huge dividend. At the same time, the European Central Bank steppedinto the market to buy bonds, pumping the system with liquidity, the banks had started to lend,and a weak euro had given exporters a shot in the arm. The economic data began to surprisepositively. At the same time, the US began to stumble. Against elevated expectations, the databegan to miss expectations, and questions surfaced about a stock market trading on richmultiples and peak profits.

** FTSE All-Share return is from 1 October 2007 to 31 March 2015.

Indices - actualFTSE All-Share (Total Return)**

Over the period, the portfolio outperformed the FTSE All-Share Index. The portfolio continued tocapture the theme of an emerging market slowdown, avoiding resource and energy stocks, andbenefited from exposure to domestic-focused, consumer-facing names. The turnaround at retailerMarks & Spencer caught the market’s attention after a positive set of results, and the cruise shipoperator Carnival benefited from new management and cheaper bunker fuel. The budget carrierRyanair performed strongly as the company raised guidance several times, and posted robustoperational metrics.

On the negative side, our holdings of smaller companies struggled, and the bus and rail operatorFirst Group laboured after losing a contract. Royal Bank of Scotland also drifted after results leftthe market frustrated by the slow pace of change in the business.

Source: FTSE International Limited (“FTSE”) © FTSE 2015. “FTSE®” is a trade mark of theLondon Stock Exchange Group companies and is used by FTSE International Limited underlicence. All rights in the FTSE indices and / or FTSE ratings vest in FTSE and/or its licensors.Neither FTSE nor its licensors accept any liability for any errors or omissions in the FTSE indicesand / or FTSE ratings or underlying data. No further distribution of FTSE Data is permitted withoutFTSE’s express written consent.

REMEMBER THAT THE PRICE OF UNITS AND REVENUE FROM THEM MAY GO DOWN ASWELL AS UP. PLEASE BE AWARE THAT PAST PERFORMANCE IS NOT INDICATIVE OF FUTUREPERFORMANCE.

St. James's Place UK Growth Unit TrustIncome units (offer to offer)*Accumulation units (offer to offer)

2

(continued)


Report of the Manager

Looking forward, we remain positive on the underlying economic outlook and have been tiltingthe portfolio to take advantage of a more buoyant consumer. We have also been buying banks,where valuations look attractive given significant operational improvement; including reducing along-held underweight in HSBC given a huge de-rating and the significant opportunity formanagement to reshape a sprawling global portfolio. Structural issues remain for the UK giventhe current account and budget deficits, but cheaper energy and low inflation provide a powerfuleconomic tailwind.

Majedie Asset Management Limited 16 April 2015

3

per £1,000Invested

Offer Bid at 04/01/10p p p £

111.4 80.93 0.512 5.37114.8 83.69 0.604 6.33111.2 90.01 1.372 14.38137.1 106.90 1.426 14.95141.3 116.00 1.956 20.51145.6 125.90 - -

per £1,000Invested

Offer Bid at 04/01/10p p p £

114.5 82.80 0.524 5.37118.1 86.64 0.621 6.36116.8 93.19 1.421 14.56145.6 112.20 1.497 15.34150.0 125.10 2.077 21.28157.0 135.70 - -

Market NAV NAVof Class per Unit

£'000 p2,664,838 2,622 98.41 1,995,332 2,458 123.21 2,457,319 3,102 126.23 2,383,501 3,226 135.37

Market NAV NAVof Class per Unit

£'000 p157,112,119 162,298 103.30 183,688,611 240,281 130.81 216,211,346 294,215 136.08 206,973,337 301,933 145.88

September

2015*20142013

Accumulation

Income

Units in Issue

Units in Issue

2015*201420132012SeptemberYear ended

Year ended

Net Asset Values

The record of net distributions paid per unit is shown below:

Net revenue distributed

20112012201320142015*

20112012201320142015*

Accumulation

Performance Record


* To 31 March 2015

Risk and Reward Profile

Ongoing Charges Figure

The Ongoing Charges Figure ('OCF') is the total expenses paid by the Trust in the period,annualised, against its average net asset value. It excludes the cost of buying or selling assets forthe Trust (unless these assets are shares of another trust). The OCF can fluctuate as underlyingcosts change.

The synthetic risk and reward indicator for the St. James’s Place UK Growth Unit Trust, asdisclosed in its most recent Key Investor Information Document (KIID), is a 6. It was calculatedusing performance data up to 2 February 2015.

The Ongoing Charges Figure for the period ended 31 March 2015 was 2.11% (30 September2014: 2.12%) for Income units and 2.11% (30 September 2014: 2.12%) for Accumulation Units.

2012

The risk category is recalculated weekly and during the period under review, the risk category didnot change.

Unit Price History and Record of Net Distributions Paid

Income

2010

2010

Highest Lowest

Calendar yearper unit

Highest Lowestper unit

Calendar year

Net revenue distributed

4

Security Holdings

MarketValue£000

% ofNet

Assets

Aerospace & Defence (4.86%) 6,071 1.99BAE Systems 1,165,197 6,071 1.99

Automobiles & Parts (0.27%) - -

Banks (8.62%) 48,098 15.75Barclays 4,748,369 11,567 3.79HSBC 2,929,449 16,915 5.54Lloyds Banking Group 10,645,965 8,398 2.75Royal Bank of Scotland 2,429,994 8,342 2.73Standard Chartered 63,986 704 0.23TSB Banking 650,592 2,172 0.71

Construction & Materials (0.18%) 746 0.24Marshalls 279,545 746 0.24

Electricity (0.76%) 417 0.14SSE 27,490 417 0.14

Financial Services (1.71%) 5,246 1.723i 539,658 2,599 0.85London Stock Exchange 68,810 1,695 0.56Man 464,039 952 0.31

Fixed Line Telecommunications (3.81%) 12,992 4.26BT 2,949,639 12,992 4.26

Food & Drug Retailers (3.43%) 16,669 5.47Tesco 4,114,970 10,063 3.30WM Morrison Supermarkets 3,386,159 6,606 2.17

Food Producers (0.34%) 530 0.17Unilever 18,652 530 0.17

Forestry & Paper (1.23%) 4,714 1.54Mondi 362,039 4,714 1.54

Gas, Water & Multiutilities (4.52%) 4,930 1.61Centrica 765,476 1,963 0.64National Grid 336,399 2,967 0.97

General Industrials (0.24%) - -

General Retailers (4.72%) 29,051 9.52Card Factory 539,893 1,600 0.52Dunelm 68,064 572 0.19Halfords 474,100 2,181 0.71Home Retail 1,091,454 1,807 0.59Kingfisher 1,556,828 5,854 1.92Marks & Spencer 2,632,080 14,332 4.70Saga 1,501,947 2,705 0.89

Health Care Equipment & Services (1.33%) 3,835 1.26Smith & Nephew 334,672 3,835 1.26

Life Insurance (4.08%) 5,661 1.86Aviva 1,061,207 5,661 1.86

Media (1.87%) 7,065 2.32ITV 238,173 602 0.20Pearson 199,720 2,906 0.95Sky 354,687 3,557 1.17

Mining (0.27%) 787 0.26Anglo American 76,537 787 0.26


Portfolio Statement

as at 31 March 2015 (unaudited)

5

Security Holdings

MarketValue£000

% ofNet

Assets


Portfolio Statement (continued)


Mobile Telecommunications (5.60%) 19,379 6.35Vodafone 8,729,353 19,379 6.35

Non Equity Investment Instruments (8.58%) 25,978 8.51Majedie UK Smaller Companies Fund B Acc 9,634,220 25,978 8.51

Nonlife Insurance (2.41%) 8,200 2.69Amlin 573,022 2,897 0.95Jardine Lloyd Thompson 84,289 887 0.29Standard Life 923,839 4,416 1.45

Oil & Gas Producers (13.58%) 28,692 9.39BG 161,255 1,357 0.44BP 3,920,513 17,254 5.65Royal Dutch Shell 'B' Shares 474,758 10,081 3.30

Pharmaceuticals & Biotechnology (11.56%) 24,651 8.08AstraZeneca 210,131 9,783 3.21GlaxoSmithKline 950,316 14,868 4.87

Software & Computer Services (0.30%) 838 0.27FDM 249,880 838 0.27

Support Services (4.19%) 18,289 6.00Electrocomponents 1,069,133 2,600 0.85Mears 382,761 1,620 0.53Rentokil Initial 5,623,893 7,705 2.53Serco 227,794 309 0.10Serco Rights 16/04/2015 227,794 85 0.03Travis Perkins 305,040 5,970 1.96

Technology Hardware & Equipment (0.80%) 2,886 0.95CSR 330,036 2,886 0.95

Travel & Leisure (6.08%) 22,798 7.48Bwin.Party Digital Entertainment 1,287,767 1,030 0.34Carnival 185,422 6,098 2.00Firstgroup 3,473,212 3,124 1.02Greene King 168,722 1,396 0.46International Consolidated Airlines 561,687 3,373 1.11Ryanair 661,861 5,289 1.73Thomas Cook 1,486,284 2,136 0.70Whitbread 6,730 352 0.12

Investment assets 298,523 97.83

Total other assets (net) 6,636 2.17

Net assets 305,159 100.00

Comparative figures shown in brackets relate to 30 September 2014.

All investments held are listed, unless otherwise stated.

6

Material Portfolio Changes

PurchasesCost

£000HSBC 10,197Lloyds Banking Group 7,191Barclays 7,114Kingfisher 3,226Royal Bank of Scotland 2,958Tesco 2,809Saga 2,794Travis Perkins 2,379Vodafone 2,334Home Retail 2,166

SalesProceeds

£000BAE Systems 9,194Royal Dutch Shell 'B' Shares 9,131AstraZeneca 6,836Centrica 6,431GlaxoSmithKline 6,038Direct Line Insurance 4,120Carnival 2,701BP 2,258Aviva 2,179BT 2,155


7

£000 £000 £000 £000

19,895 10,7874,468 3,899

(3,181) (2,791)- -

1,287 1,108- -

1,287 1,108

21,182 11,895(53) 44

21,129 11,939

£000 £000 £000 £000297,317 242,739

20,591 34,307

(33,918) (1,125)

(13,327) 33,18240 -

- (43)

21,129 11,939

305,159 287,817

Bid Offerp p

135.3 142.4145.8 153.4Accumulation units

Net capital gains

Statement of Total Return


Income

for the period ended 31 March 2015 (unaudited)

01/10/14 to 31/03/15 01/10/13 to 31/03/14


Revenue

Finance costs: Equalisation

Expenses

Net revenue before taxation

Total return before equalisation

Finance costs: Interest

Taxation

Net revenue after taxation

Change in net assets attributable to unitholders from investment activities

Statement of Change in Net Assets Attributable to Unitholders

01/10/14 to 31/03/15 01/10/13 to 31/03/14

Amounts receivable oncreation of units

Dilution levy charged

Opening net assets attributable to unitholdersMovement due to creation and cancellation of units:

Stamp duty reserve tax

Income units

Comparative information is provided for the Statement of Change in Net Assets Attributable toUnitholders. Since this information is for the prior interim period, the net assets at the end ofthat period do not correspond to the net assets at the start of the current period.

Amounts payable on cancellation of units

The prices per unit as at 31 March 2015 (unaudited) were:

Closing net assets attributable to unitholders

Change in net assets attributable to unitholders from investment activities (see above)

8


31/03/15 30/09/14

£000 £000 £000 £000

298,523 283,4681,683 7116,086 14,336

7,769 15,047

306,292 298,515

Creditors (1,133) (1,150)

- (48)

(1,133) (1,198)

305,159 297,317

Directors LondonA. M. Croft

The interim financial statements have been prepared on the same basis as the audited annualfinancial statements for the year ended 30 September 2014. They have been prepared under thehistorical cost basis, as modified by the revaluation of investments, and in accordance with theStatement of Recommended Practice (SORP) for Financial Statements of Authorised Funds issuedby the Investment Management Association (IMA) in October 2010 (the IMA SORP 2010).


29 May 2015

This report is certified in accordance with the requirements of the rules in the Financial ConductAuthority's Collective Investment Schemes Sourcebook.

Directors' Certificate

D. J. Lamb

Balance Sheet

Investment assetsAssets

DebtorsCash and bank balances

Net assets attributable to unitholders

Accounting and Distribution policies

Basis of accounting


Total liabilities

Total assets

Liabilities

Distribution payable onincome units

Total other assets

9

(a)

(b)

Management ChargesThe Trust Deed permits the following management charges which are receivable by theManager:

A Preliminary Charge of 5 per cent which is included in the offer price of the Units.

An Annual Management Charge at a rate of 2 per cent of the value of the Trust.

Income Distributions

The minimum lump sum investment is £1,500, thereafter the minimum additional investment is£1,000. The minimum monthly investment is £150 and the minimum monthly increment is £50.The minimum annual investment is £1,500 and the minimum annual increment is £500.

Minimum Investment

Income distributions are made annually on or before the 30 November.

Accumulation Distributions

Revenue due to accumulation unitholders is reflected in the price of their units.

A contract note confirming the subscription or redemption price and the number of unitsinvolved will be forwarded, together with a cancellation notice, where appropriate, on the nextbusiness day.

The most recent issue and redemption prices will be published on the Manager's website:www.sjp.co.uk and are available by calling the Administration Centre on 0800 027 1031.

Unit Dealings

Dealings on the Trust take place on a daily basis. Purchase or sale instructions can be made bytelephone or in writing to St. James's Place Unit Trust Group Limited, PO Box 9034, Chelmsford,CM99 2XA, United Kingdom, freephone: 0800 027 1031.

The Manager adopts a policy of forward pricing, i.e. the order will be transacted on the dealingday following receipt of the client's instructions, or if received before noon, on that dealing day.

In the case of telephone purchases of units from the Manager, settlement must be by return ofpost after receipt of the contract note. In the case of telephone redemptions, the proceeds willnot become payable until the receipt at the Administration Centre of a written request.

It is the Manager's intention that the assets of the Unit Trust will be invested so that the UnitTrust will be eligible for inclusion in an ISA.

European Savings Directive

It is the Manager's intention that the Trust will not normally hold 15% or more of its value inmoney debt instruments.

St. James's Place UK Growth Unit Trust is an authorised Unit Trust scheme under section 243 ofthe Financial Services and Markets Act (2000) and is constituted by a Trust Deed dated 8 January2007.


General Information

The Trust

The Unit Trust is subject to the rules of the Financial Conduct Authority's Collective InvestmentScheme Sourcebook and is classified as a UCITS Scheme.

The Trust Manager

The Manager of the Trust is St. James's Place Unit Trust Group Limited which is a member of theInvestment Association and is authorised and regulated by the Financial Conduct Authority.

Investment Objectives

The investment objective of the Scheme is to provide capital appreciation through investment ina concentrated portfolio of quoted UK securities. The Scheme will be invested, at the Manager'sdiscretion, primarily in UK equities and may also be invested in cash and near cash. The Schemeis also permitted to invest in other transferable securities, money market instruments, units incollective investment schemes, deposits, and derivatives and forward transactions (for thepurpose of hedging only).

The Scheme is permitted to invest in derivatives for investment purposes and efficient portfoliomanagement (including hedging).

10


General Information (continued)

Tax Vouchers

To calculate capital gains on accumulation units, the total amount of reinvested net revenue(shown on the annual tax credit vouchers) should be added to the base cost of the unitspurchased. Unitholders should consult their professional advisers for any advice regarding theirtax position.

Income unitholders that receive income distributions by direct credit and accumulationunitholders (where the distribution income is reinvested) receive an annual consolidated taxvoucher in May with all the relevant payment and tax information required to complete a taxreturn.

Tax vouchers will be enclosed if income unitholders receive payment by cheque.

Report

A report is sent semi-annually to all unitholders on or before 31 May and 30 November.

Capital Gains Tax

The Trust is not liable to tax on capital gains and any individual holding units will not be liable tocapital gains tax unless the total chargeable gains for the tax year 2015/2016 exceed £11,100(2014/2015 £11,000).

11

Perivan Financial Print 236685 UK Growth (5/15)

St. James’s Place Unit Trust Group Ltd is authorised and regulated by the Financial Conduct Authority. St. James’s Place Unit Trust Group Ltd Registered Offi ce:

St. James’s Place House, 1 Tetbury Road, Cirencester, Gloucestershire, GL7 1FP, United Kingdom. Registered in England Number 947644.

uk growth unit trust - st. james's place financial ... · pdf filest. james's place...

Documents